Highly competitive environment challenges S'porean companies when hiring talent
Four out of 10 S’poreans are job searching
An estimated 40% of Singaporeans are actively job hunting, intensifying the talent competition for employers seeking higher salaries and improved benefits. According to a recent survey by Morgan McKinley, 80% of Singaporean organisations find hiring in 2023 to be highly competitive, with 39% losing out on talent acquisition due to salary and benefits limitations.
Furthermore, 44% anticipate that the scarcity of skilled candidates will be their primary recruitment challenge in 2024.
Nevertheless, despite these challenges, 43% of Singaporean businesses plan to continue hiring over the next six months. On the candidate side, 41% of professionals in Singapore intend to search for new job opportunities in the same period.
Dissatisfaction with their current benefit packages is prevalent among Singaporean workers, with 63% expressing neutrality, dissatisfaction, or high dissatisfaction.
The top five desired job benefits for Singaporean workers include bonuses, remote work options, flexible working hours, health and well-being support, and health insurance.
A higher salary remains the most compelling reason for job changes, cited by 43% of respondents, followed by career growth and development opportunities at 14%.
The survey also found that 60% of professionals in Singapore are optimistic about receiving a salary increase in 2024, while 72% of employers plan to offer increased salaries for certain in-demand roles.
"Global markets have presented challenges in 2023, leading companies to be strategic with their hiring efforts. The job market is still active for top talent, but various factors, including jobseeker apprehension and skills shortages, have made it difficult." Gurj Sandhu, Managing Director of Morgan McKinley Singapore, noted.
Sandhu emphasized the importance of understanding employees' career goals and aspirations to keep them engaged in a market where headcount reduction and increased workloads are prevalent.
Sandhu further noted that while a boom in employee movement, akin to the 'Great Resignation' in 2021, may or may not occur in 2024, companies should prioritize employee well-being and engagement to prevent workforce attrition. The Morgan McKinley 2024 Salary Guide provides essential salary data for various roles in Singapore, offering insights for hiring managers and professionals regarding compensation expectations.
The survey involved 650 businesses and 3,400 professionals to gauge hiring intentions, job motivators, and salary expectations for 2024.